AI at the Top End — How Saudi Arabia’s Financial Sector Is Redefining Premium Services

RIYADH: Artificial intelligence is rapidly reshaping Saudi Arabia’s financial services sector, enabling more personalized client experiences, improving operational efficiency and expanding access to wealth management and banking services.

The Kingdom’s AI market is projected to grow from $9.3 billion in 2025 to $102.8 billion by 2033, according to Grand View Research, driven by investments in digital transformation and financial innovation under Vision 2030.

According to Jad Zerouali, senior partner at Bain & Co., and head of financial services practice, Middle East, AI is expected to transform premium financial services in Saudi Arabia by enabling always-on, personalized client experiences. 

“Local banks, if they seize the transformation opportunity soon enough, will have the ability to compete more effectively with larger international banks with more installed infrastructure and history,” Zerouali told Arab News, adding: “And it can also be an opportunity for new and nimble players to gain competitive advantage. AI will be a once in a lifetime chance for innovative players to gain market share, fast.” 

In wealth management, the technology is enhancing advisory capabilities and client engagement, while global benchmarks suggest productivity gains of up to 50 percent and efficiency improvements of up to 20 percent for institutions integrating AI into their operating models.

Zerouali said AI has become a top strategic priority for financial institutions globally and in Saudi Arabia, where it is increasingly central to growth, operational efficiency, personalized client experiences and new business models.

He believes that for Saudi financial services institutions, this full-spectrum AI commitment maps directly onto Vision 2030’s ambitions. 

“For example, AI-driven underwriting increases the commercial viability of SME and underserved segment financing, intelligent capital markets tools deepen institutional participation, and always-on advisory democratizes wealth management beyond the traditional HNW client base,” said Zerouali, adding: “What began as pure efficiency plays will, as history shows, end up redefining the entire sector.” 

Another Bain & Co. partner, Fadi Hariz, explained that financial institutions which successfully adopt AI can gain a significant competitive advantage, but global experience shows the biggest obstacles are organizational — such as resistance to change, misaligned incentives and fragmented governance — rather than technological.

 

“Data is the other binding constraint, not whether institutions have it, but whether they treat data architecture and governance as a core AI capability rather than a mere compliance requirement,” Hariz told Arab News.

He added that across all of this, explainability remains non-negotiable, particularly in wealth management and credit decisions where customer trust and regulatory scrutiny are highest. 

“Saudi institutions are not immune to any of these challenges, but those that navigate them head-on will be the ones that define the next era of financial services in the Kingdom,” Hariz said, adding that regulators will have to work hand in hand with Saudi financial institutions to allow for flexible and controlled AI innovations while refreshing their framework to continue to protect customers and the overall health of the financial system.

Measure results, not processes

According to Carlton Liew, chief business officer and co-founder of Dyna.Ai, Saudi banks are using AI to deliver more personalized and timely services by enhancing customer-facing teams with real-time insights, enabling employees to provide better advice and strengthen client relationships rather than replacing them.

“This also fits the Kingdom’s wider economic vision. As Saudi Arabia expands its financial sector and digital economy, AI can help banks raise service quality, deepen client relationships, and support diversification under Vision 2030,” Liew said, adding that “the strongest models combine human judgment with AI that works in real time in the background, and in Arabic first.”

With regard to applications, he clarified that the biggest impact is expected to come from agentic AI, which integrates tools such as AI copilots, conversational AI and automated workflows into bankers’ daily operations. 

In Saudi Arabia, key use cases include voice AI, real-time adviser support and 24/7 intelligent customer service.

“Our research across the region points to the same. The strongest gains are in use cases closest to the relationship manager, tied to personalized engagement and revenue. Each of these delivers value independently, but the compounding effect comes when fragmented AI solutions including voice, agents, QA checks, and fraud detection are unified into one platform that delivers measurable outcomes. That is the shift premium banking in the region is moving toward,” Liew said.

On what could accelerate AI adoption in Saudi Arabia, the co-founder said the biggest shift would be moving toward Results-as-a-Service models that measure AI by business outcomes rather than pilot programs. He added that unlocking AI’s full potential will require deeper integration into banks’ operations through end-to-end agentic workflows rather than standalone tools.

“If financial institutions in Saudi Arabia prioritize outcome-based delivery, adoption will move faster. It creates clearer accountability for providers, better ROI visibility for banks, and faster confidence from business leaders,” Liew said, adding: “That is the kind of environment where AI can scale beyond experimentation and becomes part of how banking actually operates.”

On upcoming developments, the Dyna.Ai co-founder noted that the company has prioritized Arabic AI from the outset, developing agentic AI and multilingual solutions tailored to regulated banking environments in Saudi Arabia, in line with the Kingdom’s vision for an AI-enabled financial sector.

“Saudi Arabia is investing heavily in digital transformation, financial innovation, and local capability, and we see our role as helping banks translate that ambition into practical execution. The next phase is not just about automation. It is about creating AI that supports better service, stronger compliance, and more scalable customer engagement across the Kingdom,” he concluded.

Making the financial, personal

AI is making wealth management more personalized and efficient by helping advisers analyze clients’ financial goals, risk profiles, liquidity needs and, where relevant, Shariah considerations, according to Abdulrahman Al-Sudairy, general manager of Vault Saudi.

“As Saudi Arabia’s wealth landscape evolves, clients increasingly expect the combination of digital convenience and trusted human advice. We believe the future of wealth management lies in bringing those two together.” Al-Sudairy told Arab News.

The general manager added that Saudi Arabia’s Vision 2030 places digital transformation, financial inclusion and capital market development at the heart of its economic agenda, with AI poised to accelerate all three. 

In wealth management, AI enables advisers to deliver more personalized insights, streamline routine tasks and enhance the client experience, broadening access to high-quality financial advice while allowing advisers to focus on strategic planning and long-term relationships.

“Equally important, AI should be deployed responsibly. Strong governance, transparency, and human oversight are essential to maintaining trust and ensuring technology enhances — not replaces — professional judgment,” Al-Sudairy said, adding: “We believe the combination of innovative technology and trusted advice will play an important role in supporting the continued evolution of Saudi Arabia’s financial sector.” 

When asked what single regulatory, technological or market shift could accelerate the company’s success in the Kingdom, Al-Sudairy pointed to the continued expansion of open banking and secure, consent-based data sharing. 

He said greater integration of banking, investment and liability data would enable advisers to deliver more personalized financial planning and improve the client experience.

Al-Sudairy believes Saudi Arabia’s combination of technological innovation, strong governance and Vision 2030 ambitions positions it to become a global leader in digital wealth management.